Continuing the good work on this volume thread, by adding my evidence of
strong volume-price correlation in the move made today by the Kiwi-Dollar,
as shown here on this Sep.2016 Futures chart for Kiwi, 60m chart:
You can clearly see the bar of the NFPs release with a huge red volume spike,
driving NZD/USD down from above 0.72 all the way down to nearly 0.71…
A huge move with continuation after the first hour from the NFPs release, and
with plenty of sell volume behind it.
With RBNZ’s rate decision next Wednesday, this pair is poised for either
a break below 0.71 and a test/break of the big round number 0.70, or
a bounce back above 0.72.